NEED TO WEIGH VERY CAREFULLY ON THE ONE HAND THE VERY REAL BENEFITS TO CONSUMERS (ESPECIALLY AUSTRALIAN CONSUMERS) FROM THE ADOPTION OF A QUOTE 3RD/4TH FREEDOM POLICY UNQUOTE (WHICH MIGHT OR MIGHT NOT INCLUDE CHARTERS) AND THEIR EXTERNAL POLITICAL RELATIONS ON THE OTHER. THEY WERE CAREFUL, HOWEVER, NOT TO GIVE ANY INDICATION
AS TO THE WAY THE SCALES MIGHT TIP.
10. THE VARIOUS ALTERNATIVES WERE EXPLORED AT SOME LENGTH AND
THE AUSTRALIANS SHOWED THEMSELVES VERY INTERESTED IN THE SPUR WHICH THE THREAT OF INCURSION BY CHARTER OPERATORS INTO THE MARKET
HAD GIVEN TO THE INTRODUCTION OF LOWER FARES ON SCHEDULED SERVICES. BOTH SIDES ACCEPTED THAT IF CHARTERS WERE TO BE PERMITTED THE
SCHEDULED SERVICE OPERATORS MUST BE ALLOWED TO COMPETE BY OFFERING SIMILAR FARES, SUCH INDICATIONS AS WE WERE ABLE TO GET SUGGESTED THAT THE AUSTRALIANS ARE CONCERNED AT THE EXTENT TO WHICH THE INTRODUCTION OF REGULAR CHARTER SERVICES WOULD UNDERMINE THE SCHEDLUED SERVICE MARKET, NOT PERHAPS SO MUCH BETWEEN AUSTRALIA AND THE UK AS BETWEEN AUSTRALIA AND THE OTHER EUROPEAN DESTINATIONS WITH WHICH THEY HAVE CLOSE TIES. REFERENCE WAS MADE TO THE ADVICE THAT UNDER AUSTRALIAN LAW CHARTERS OF THE ABC TYPE WERE QUOTE SCHEDULED SERVICES UNQUOTE: BUT BOTH ROWLAND AND HALTON INDICATED THAT THEY WOULD NOT NECESSARILY STAND ON THIS GROUND IF AS A MATTER OF POLICY THEY WERE TO DECIDE THAT ABC CHARTERS WERE DESIRABLE THEY SEEMED, HOWEVER, TO BE FEELING FOR THE POSSIBILITY OF HOLDING THE THREAT OF CHARTER SERVICES OVER THE HEADS OF THE SCHEDULED OPERATORS RATHER THAN INTRODUCING REGULAR CHARTER SERCICES AT THIS STAGE. AN ALTERNATIVE WOULD BE TO ALLOW CHARTERS DURING THE PEAK MONTHS BUT NOT TO PERMIT THEM ON A YEAR-ROUND BASIS.
11. WE EMPHASISED THE POLITICAL AND OTHER IMPLICATIONS OF LIMITING THE ACCESS OF THIRD COUNTRY CARRIERS TO THE UK-AUSTRALIA MARKET EITHER THROUGH THE INTRODUCTION OF CHARTERS OR THROUGH DISCRIMINATORY FARES WHICH WERE AVAILABLE ONLY TO QANTAS AND BRITISH AIRWAYS. IT EMERGED FROM THIS PART OF THE DISCUSSION THAT THE AUSTRALIANS ARE MUCH MORE CONCERNED ABOUT THEIR RELATIONS WITH THE SOUTH EAST ASIAN COUNTRIES (NOTABLY SINGAPORE) THAN WITH OTHER 6TH FREEDOM OPERATORS NOTABLY THOSE IN EUROPE.
12. IN DISCUSSION ABOUT THE POSSIBLE NEGOTIATION OF CHARTER SERVICES THE AUSTRALIANS MADE IT PLAIN THAT THEY WERE NOT AT ALL RECEPTIVE TO LAKER'S SUGGESTION THAT HE SHOULD HAVE ACCESS TO 5TH FREEDOM TRAFFIC BETWEEN LUXEMBOURG AND AUSTRALIA.
13. BOTH SIDES NOTED THAT THE MAIN PRESSURES IN AUSTRALIA RELATED